PV Power to sell 25 per cent stake in October

June 08, 2016 | 08:25

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National Oil and Gas Group PetroVietnam’s power arm PV Power plans to sell a 25 per cent stake at its October IPO this year.

According to a release posted on the company’s website yesterday, PetroVietnam is going to hold 75 per cent of the company after the IPO. In June, PV Power is going to announce its value and the size of the stake to be sold to employees at a preferential price and submit its business plan for the next five years. The equitisation plan is going to be approved by the prime minister in August. The first shareholders’ meeting reflecting the shifting ownership is going to be held in December this year.

PV Power is looking for a strategic investor. Recently it had meetings with foreign investors such as South Korean SK and Kospo and Japanese Tohoku Electric Power Co. to discuss a sale of stakes at its associate companies.

As of the end of 2015, PV Power’s shareholders’ equity was VND21.8 trillion ($980 million). The company’s 2015 revenue stood at VND25.3 trillion ($1.13 billion) and its pretax profit at VND3.1 trillion ($140 million).

PV Power currently has 26 subsidiaries and associate companies. It is managing eight power plants with a combined capacity of 4,208 MW, accounting for 11 per cent of the country’s total generation capacity. In the 2016-2021 period the company is going to have three more power plants, gaining an additional capacity of 3,600 MW.

In the first quarter of 2016, PV Power’s power output was 5.7 billion kWh. PV Power targets a total power output of 21 billion kWh, a total revenue of VND29.4 trillion ($1.3 billion), a pre-tax profit of VND680 billion ($30.5 million), and an after-tax profit of VND600 billion ($27 million) in 2016.

By By Ha Duy

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